Growing Demand in Asia for Clean Baseload Fuel Cell Power Generation Drives Order Acceleration
DANBURY, Conn., May 8, 2012 -- FuelCell Energy, Inc.
fuel cell power plants, today announced that the delivery schedule of the
previously announced 70 megawatt (MW) order with POSCO Energy will be
accelerated to meet growing demand in Asia for ultra-clean, efficient and
reliable fuel cell power plants. Under the revised terms, an additional 1.4
MW of fuel cell kits will be delivered monthly for a total of 4.2 MW per
month, beginning in July 2012. The original terms called for the delivery of
2.8 MW of fuel cell kits monthly beginning in October 2011 and through
October 2013. With the acceleration of deliveries, the 70 MW order will
conclude in April 2013 at which time deliveries are expected to begin under
the previously announced memorandum of agreement for 120 MW of fuel cell
"POSCO Energy requested this acceleration of deliveries to meet increasing
demand in South Korea under the Renewable Portfolio Standard that mandates a
certain percentage of new and renewable energy by electric utilities and
major independent power producers," said Ben Toby, Vice President, Eastern
Region and International Sales for FuelCell Energy, Inc. "This Renewable
Portfolio Standard program is creating real market traction and benefit to
the country's electricity supply, enabling low carbon economic growth and
diversification based on advanced technology, ultra-clean power generation
Ultra-clean and highly efficient fuel cells are an ideal clean energy
solution for South Korea due to the need to import fuel for generating
electricity and the poor wind and solar profiles of the Korean Peninsula.
South Korea's 'green growth' energy strategy is designed to stimulate
economic growth and job creation while increasing demand for clean and low
carbon power generation, spurring fuel cell adoption.
Under the Renewable Portfolio Standard that took effect at the beginning of
2012, electric utilities and independent power producers with more than 500
MW of generating capacity must install qualifying technologies such as
stationary fuel cells or buy renewable energy credits to meet the mandates
of the program and avoid penalties.
The distributed generation attribute of fuel cells provides continuous power
at the point of use, easing congestion of the transmission grid and
enhancing power reliability. DFC power plants are scalable, supporting
incremental additions of power generation throughout an electric utility
service network. Two fuel cell parks, each in excess of 10 MW, are operating
in South Korea, providing ultra-clean power to the electric grid.
Fuel cells electrochemically convert a fuel source into electricity and heat
in a highly efficient process that emits virtually no pollutants due to the
absence of combustion. DFC power plants are fuel flexible, capable of
operating on natural gas or renewable biogas. Efficiency of up to 90 percent
can be achieved when the DFC plant is configured for combined heat and power
(CHP) and the heat used by the customer. High efficiency reduces fuel costs
and carbon emissions and producing both electricity and heat from the same
unit of fuel can reduce the use of combustion based boilers used for
heating, further reducing costs and pollutants.
About FuelCell Energy
Direct FuelCell(R) power plants are generating ultra-clean, efficient and
reliable power at more than 50 locations worldwide. With over 180 megawatts
of power generation capacity installed or in backlog, FuelCell Energy is a
global leader in providing ultra-clean baseload distributed generation to
utilities, industrial operations, universities, municipal water treatment
facilities, government installations and other customers around the world.
The Company's power plants have generated more than one billion kilowatt
hours of ultra-clean power using a variety of fuels including renewable
biogas from wastewater treatment and food processing, as well as clean
natural gas. For more information please visit our website at